Traders work the floor of the New York Stock Exchange Thursday, the day before a weak jobless report threw a scare into the market. / Richard Drew, AP

by Adam Shell, USA TODAY

by Adam Shell, USA TODAY

NEW YORK - Can the buy-the-dip crowd keep the stock market on its upward trajectory?

For weeks, many on Wall Street have been saying they're worried about a market correction. They also have been waiting for stock prices to drop. The reason? A chance to put their cash to work in the record-breaking market at better entry points.

After Friday's early sell-off on the dismal March job-creation numbers, the buy-on-weakness investment strategy faced its first real test. The market, thanks to a late-day rally, came through with a passing grade.

The Dow Jones industrial average, which sank 172 points early, recouped most of its losses to close down 41 points at 14,565 -- 97 points below its record close last week.

The key question is whether the market will be able to bounce back the same way from future sell-offs.

That "is what we hope will play out over the next couple of weeks and months as people test this buy-the-dip" game plan, says John Canally, an investment strategist at LPL Financial. "It's a game of chicken. ... Now, it's more a buy-the-dip mentality. The thinking is, 'Hey, I missed some of the rally, let me get involved.' "

The general consensus on Wall Street is that any correction will be mild compared with the past three springs, given that the Federal Reserve is keeping interest rates low to help the economy, and the housing market continues to strengthen. The Dow suffered spring declines of 9% last year, 17% in 2011 and 14% in 2010.

In recent weeks, there have been a number of fresh fears clouding the outlook for stocks, including rising hostilities with North Korea, fallout from the eurozone bank bailout in Cyprus, and a spate of lighter-than-expected U.S. economic data.

The weak March jobs number was simply the latest scare.

"The question is, 'Is this just a hiccup?' " says Frank Fantozzi, CEO of Planned Financial Services. He says he doesn't think stocks will tank as much as they did the past three springs, but is still advising his clients not to buy until the market has fallen at least 5%.

"I am telling people that have new money to put to work to hold off a month or two," says Fantozzi, adding that many retail investors aware of the drops the past three years around this time are also more likely to wait.

"It makes it harder for investors to jump in and test the waters," he says. "They will wait for a (bigger) pullback."

The start of earnings season, which kicks off this week, and fresh incoming economic data, will give investors more of an idea of whether the slowdown fears are warranted -- and whether the market is due for a pause or will keep going higher, Fantozzi says.